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CA Sues Drug Companies

by TChris

If you steal a bottle of vitamins from Wal-Mart, you get prosecuted for a crime. If multinational drug companies steal hundreds of millions of dollars from California by overcharging for medicine, they get sued in a civil action. Seem fair?

Attorney General Bill Lockyer charged that the drug makers, including some of the world's leading pharmaceutical concerns, defrauded the state's Medi-Cal system for at least the past decade. ... "We're dragging these drug companies into the court of law because they're gouging the public on basic life necessities," Mr. Lockyer said at a news conference here. "This scheme has cost California taxpayers potentially hundreds of millions of dollars and is jeopardizing the public health by diverting money away from patient care."

Mr. Lockyer said that each of the companies made as much as $40 million a year in illegal profits. He said he hoped to recover that amount plus the triple damages allowed under the state's false claims act.

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  • Re: CA Sues Drug Companies (none / 0) (#1)
    by roy on Sat Dec 17, 2005 at 01:02:47 PM EST
    Oh no! The drug companies make California pay the price they agreed to pay! Don't blame the bloated, unaccountable, no-incentive-for-efficiency beurocracy for agreeing to pay $9.78 for salt water.

    Re: CA Sues Drug Companies (none / 0) (#2)
    by sarcastic unnamed one on Sat Dec 17, 2005 at 01:02:47 PM EST
    Is this what the left wing trash means when they scream for nationalized health care? Where are they now? Que crickets. (Che's Lounge, tell me where to send the royalites for appropriating your inimitable style.)

    Re: CA Sues Drug Companies (none / 0) (#3)
    by scarshapedstar on Sat Dec 17, 2005 at 01:02:47 PM EST
    Yes, this is clearly the inevitable outcome of nationalized healthcare. Also, Roy, California is one big "bloated, unaccountable, no-incentive-for-efficiency beurocracy". The state should seriously consider scrapping their Constitution and starting over sans ballot initiatives.

    Re: CA Sues Drug Companies (none / 0) (#4)
    by soccerdad on Sat Dec 17, 2005 at 01:02:47 PM EST
    Is this what the left wing trash means when they scream for nationalized health care? Where are they now?
    What this has to do with nationalized healthcare escapes me but the usual trolls have no problem making unrelated attacks. This kind of theft by the corps diverts moneyway frompatient care. And also lets not forget it was Bush and this right wing corporate butt kissers who passed the Medicare drug bill that would not allow for negotiating lower prices. Can't hurt the poor corporations who are making record profits while millions of people go without healthcare. Scumbags

    Re: CA Sues Drug Companies (none / 0) (#5)
    by Patrick on Sat Dec 17, 2005 at 01:02:47 PM EST
    This kind of theft by the corps diverts moneyway frompatient care.
    Yes, the government will be much more efficient. Kool-aid anyone..
    Can't hurt the poor corporations who are making record profits while millions of people go without healthcare.
    Yeah national healthcare will mean everyone will have it, but how many will die waiting for the government to decide what's good for them.

    Re: CA Sues Drug Companies (none / 0) (#6)
    by squeaky on Sat Dec 17, 2005 at 01:02:47 PM EST
    Pat- A lot less than now.
    ...but how many will die waiting for the government to decide what's good for them.


    Re: CA Sues Drug Companies (none / 0) (#7)
    by soccerdad on Sat Dec 17, 2005 at 01:02:47 PM EST
    Patrick where did I say National health Care was the answer?? Putz

    Re: CA Sues Drug Companies (none / 0) (#8)
    by soccerdad on Sat Dec 17, 2005 at 01:02:47 PM EST
    So I guess Patrick and his ilk are supporting corporate greed. What a surprise. Thats what this post was about. Not about national health care

    Re: CA Sues Drug Companies (none / 0) (#9)
    by Sailor on Sat Dec 17, 2005 at 01:02:47 PM EST
    SUO, "left wing trash", that is nothing but name calling. Next. Pat, gee I would have thought you wouldn't want to spend your tax money on drug prices inflated by 10 times. The american drug companies charge Canada and Mexico much less that they do Americans. They also make record profits each year. Jeez, I wish you weren't sucking on the public teats for your health coverage. It just raises my health care costs. Next.

    Re: CA Sues Drug Companies (none / 0) (#10)
    by Che's Lounge on Sat Dec 17, 2005 at 01:02:47 PM EST
    Sarc, Right here. Um, this has nothing to do with bad government. And tho I'm all for a more, for lack of a better term, radical restructuring of US health care, this was a case of blatant FRAUD on the part of these companies. As powerful as PHARMA is, they controlled the situation. They increased their 03-04 lobbying tab in CA from 875K to over 1 million just to fight legislation to allow Canadian imports. They have presented false data (aka lied) about drug pricing to the government. The government ultimately FOUND OUT about their little scam, via a soon to be rich whistleblower, and sued their asses. What part of that is so difficult for you to understand? But I suppose you have never been taken for anything. Of all the parties involved here, it's not the government that needs to be taken out of the equation. It appears to me that Atty. Gen. Lockyear is doing HIS job.

    Re: CA Sues Drug Companies (none / 0) (#11)
    by jimakaPPJ on Sat Dec 17, 2005 at 01:02:47 PM EST
    et al - As someone who believes that we must go to nationalized health care, can any of you tell me what this has to do nationalized health care? Best I can tell CA is trying to break a contract. Basically I am against breaking contracts unless you can show me some really, really, really good reasons. So far I don't see any. Patrick - I really don't know how many will die waiting for care. My guess is 99.9% less than die now from inadequate care. SD writes:
    This kind of theft by the corps diverts moneyway frompatient care
    No, it doesn't and your inaccurate comments just help those who oppose

    Re: CA Sues Drug Companies (none / 0) (#12)
    by soccerdad on Sat Dec 17, 2005 at 01:02:47 PM EST
    PPJ it does, you know it does. But you just want to be yourself. There's not an infinite supply of money. Do the math

    Re: CA Sues Drug Companies (none / 0) (#13)
    by Che's Lounge on Sat Dec 17, 2005 at 01:02:48 PM EST
    Best I can tell CA is trying to break a contract Any contract has been rendered null and void by the outing of their price-fixing scam.

    Re: CA Sues Drug Companies (none / 0) (#15)
    by cpinva on Sat Dec 17, 2005 at 01:02:48 PM EST
    it's been some time since i took basic contract law, but i seem to recall that, to be valid on its face, all parties to the contract must enter into it honestly. by knowingly providing false data, with respect to drug pricing, which was then relied upon by the government contract negotiators, the drug companies violated one of the basic requirements of a valid, binding contract. or so says the CA AG. i can tell you right now that atenolol, a drug i take daily, costs nowhere near $800 for a 30 day supply. i pay roughly $1.25, and my insurance company pays around $25, so something is clearly wrong in this picture.

    Re: CA Sues Drug Companies (none / 0) (#16)
    by Johnny on Sat Dec 17, 2005 at 01:02:49 PM EST
    cpinva, what is wrong is that drugs cost more than humvees...

    Re: CA Sues Drug Companies (none / 0) (#17)
    by cpinva on Sat Dec 17, 2005 at 01:02:49 PM EST
    cpinva, what is wrong is that drugs cost more than humvees...
    would that be with, or without armor?

    Re: CA Sues Drug Companies (none / 0) (#18)
    by kipling on Sat Dec 17, 2005 at 01:02:49 PM EST
    Lockyer is clearly a terrorist and should be thrown in Guantanamo and the key thrown away till the end of time (or the end of American Empire, whichever comes later). Oh, and his Amurkan passport should be shat on and thrown to the dogs.. in front of him! While he still breathes (which he don't deserve coz only Amerkans deserve to breathe!). I earnestly wish for as many human beings to act as human beings as soon as humanly possible.

    Re: CA Sues Drug Companies (none / 0) (#19)
    by jimakaPPJ on Sat Dec 17, 2005 at 01:02:49 PM EST
    Mr. Lockyer acknowledged that the Medi-Cal system might not always be the most prudent buyer of pharmaceuticals and other medical services. But he said that did not let the drug companies off the hook for what he called an elaborate scheme of fixing prices.
    That might just be the understatement of the year. In the meantime the various states' AG decides to sue for damages. That will do what? Help the very states who negotiated the original contracts. duhhhhh Sometimes I consider becoming a Libertarian.

    Re: CA Sues Drug Companies (none / 0) (#20)
    by jimakaPPJ on Sat Dec 17, 2005 at 01:02:49 PM EST
    DA - That's quite a lisp you have developed there. Have you sought medical attention, or are you just trying to avoid being called on spelling, grammar and typing errors? Lots of work, eh?

    Re: CA Sues Drug Companies (none / 0) (#22)
    by Talkleft Visitor on Sat Dec 17, 2005 at 01:02:49 PM EST
    Jim, You're exactly right. People die from inadequate care. I was going to tell Pat how insurance companies refuse treatments as a matter of course, to see if people will just not get them and to delay the payment for services if the insured are persistent enough to actually get that MRI they need. I once represented a woman who had endured seven (7) brain surgeries to remove malignant tumors, and her insurance company (and she had a very high-end policy) still routinely refused to pay for MRI's. Great system we got. Fantastic.

    Re: CA Sues Drug Companies (none / 0) (#23)
    by sarcastic unnamed one on Sat Dec 17, 2005 at 01:02:49 PM EST
    "Of all the parties involved here, it's not the government that needs to be taken out of the equation. It appears to me that Atty. Gen. Lockyear is doing HIS job." So, "See, the system works?" So funny to see you make that comment. Ah well, none of us is perfect.

    Re: CA Sues Drug Companies (none / 0) (#24)
    by jimakaPPJ on Sat Dec 17, 2005 at 01:02:49 PM EST
    C-Law – I hope DA doesn’t have the same medical insurance you refer to. He has just recently had a sudden turn for the worse in his ability to type and spell. Could it be a brain tumor? Or just lack of a brain? DA - Keep trying. You can do it!

    Re: CA Sues Drug Companies (none / 0) (#25)
    by Che's Lounge on Sat Dec 17, 2005 at 01:02:49 PM EST
    Sarc, I would think that an informed person would see rather quickly that the drug companies and PHARMA ARE a part of the system you rant about. No the system does NOT work in it's current incarnation, as I inferred in my first post. But I really don't think you have a coherent arguement, so you just fix blame on the big bad government. You should expatriate. As a progressive socialist, I at least am willing to reform our system rather than hack it to death as you seem to prefer. You sound like someone who has had a bad experience with the HC system. Well, join the club. But you're backing the wrong horses.

    Re: CA Sues Drug Companies (none / 0) (#26)
    by squeaky on Sat Dec 17, 2005 at 01:02:49 PM EST
    PPJ-Ironic, that even with DA's inventive and obsolete spelling, his posts are far more coherent and insightful than yours, even with your spell checker software at work. It aint the box, it is the gift that is meaningful.

    Re: CA Sues Drug Companies (none / 0) (#27)
    by Che's Lounge on Sat Dec 17, 2005 at 01:02:49 PM EST
    Did it ever occur to anyone that if bloated corporations didn't hire away savvy administrative personnel and other professionals, that maybe those people would find gainful employment in their same capacity working as government advocates for patient care, under a nationalized system that simply covers every legal resident of this country? Anyone who still believes that PHARMA and the drug companies are better for our national health care is seriously uneducated about our health care system. We don't need them to do anything other than what they were originally designed to do. And that is to develop drugs. But capitlaism has mutated these organizations. Healthcare should not be a profit driven industry.

    Re: CA Sues Drug Companies (none / 0) (#29)
    by jimakaPPJ on Sat Dec 17, 2005 at 01:02:49 PM EST
    Squeak – Anyone who judge people by what other family members have done is likely to believe anything. Maybe you should ask the Grand Wizard for guidance. DA – Go! Go! We all know you have run off and hid after I started putting you to your own little tricks. Please, please. Never, never stop.

    Re: CA Sues Drug Companies (none / 0) (#31)
    by squeaky on Sat Dec 17, 2005 at 01:02:49 PM EST
    PPJ-A second grade reading level at best, convienient when you have an empty hand (metonym for head). Your saw, is not even vaguely repeating the tune you say is mine; your main rhetorical device is wearing thin. Tell a lie and then repeat, repeat, repeat, ad infinitum; It may work for Chimpy but it will not work for you, at least not here.

    Re: CA Sues Drug Companies (none / 0) (#32)
    by jimakaPPJ on Sat Dec 17, 2005 at 01:02:49 PM EST
    Squeaky - Truth doesn't have to "work." Truth is. DA - As I noted on another thread it is difficult to understand you, but I believe you are now agreeing with me and apologize. I hope your disease is quickly diagnosed and the treatment successful.

    Re: CA Sues Drug Companies (none / 0) (#33)
    by squeaky on Sat Dec 17, 2005 at 01:02:50 PM EST
    PPJ-If truth is then you might as well stop commenting, because all you do is lie.

    Re: CA Sues Drug Companies (none / 0) (#34)
    by squeaky on Sat Dec 17, 2005 at 01:02:50 PM EST
    PPJ-At least DA can change his writing style, you are stuck with being a moron.

    Re: CA Sues Drug Companies (none / 0) (#36)
    by jimakaPPJ on Sat Dec 17, 2005 at 01:02:50 PM EST
    Squeak - Why don't you mosey on over to the Open Thread and leave your insults there. I'm starting to feel plum poorly about our use of this thread. You can start off with something original. Like, “Jim is stupid.” You know, one of your real zingers. DA - You are also invited. I love to watch you embarrass yourself.

    Re: CA Sues Drug Companies (none / 0) (#38)
    by Talkleft Visitor on Sat Dec 17, 2005 at 01:02:50 PM EST
    Jim, The sad thing is I seriously doubt DA's insurance is anywhere near as good as this woman's. Her company always ended up paying...although treatments were delayed, doctors had to write angry letters, and it was an insurance worry that caused her original mis-diagnosis. I don't think I'll go into any more detail, but I feel comfortable saying as much as I have because I count her as a friend and don't think she'd mind. And the work I did for her didn't have anything (mercifully) to do with her insurance company.

    Re: CA Sues Drug Companies (none / 0) (#39)
    by jimakaPPJ on Sat Dec 17, 2005 at 01:02:51 PM EST
    c-law - My guess is that insurance companies and lawyers will be two of the largest obstacles to national health care. You excepted. ;-) Seriously, the current system is a disgrace. Most of those who support it haven't really seen it up close and personal. DA - Keep trying. Exercise improves hand to eye coordination.

    Re: CA Sues Drug Companies (none / 0) (#41)
    by Talkleft Visitor on Sat Dec 17, 2005 at 01:02:51 PM EST
    Touche Jim, That was funny. But I think lawyers will also be a big help in getting national healthcare...we play both sides, remember ;-)